Akin said the government should be out of the student loan market altogether. "America has got the equivalent of the stage three cancer of socialism because the federal government is tampering in all kinds of stuff it has no business tampering in," he said.

Obummer wants to cut the interest rates on Federal student loans forcing the debt on to the tax payers.

Do you think the communiss kids pay for college? No! All free, courtesy of big government.

It should be called the "Obama more beer money for drunken students program."

Isaiah 24:1-3 Behold, the LORD maketh the earth empty (2)...as the taker of usury, so with the giver of usury to him. (3) The land shall be utterly emptied, and utterly spoiled: for the LORD hath spoken his word.

It should be called the "Obama more beer money for drunken students program."

EXACTLY - Hard working Americans like Mitt Romney didn't need a interest reduction to pay off his student loans anymore than is his hard working stay at home wife Ann Romney needs government health care to fight her multiple sclerosis. Obummer is out helping out the slackers again!

We need to have PRIVATE ENTERPRISE running our student loan system. Get the gubmint OUT of EDUCATION!!! The federal government is TERRIBLE at EVERYTHING. Only PRIVATE institutions would have the creativity, moxie, and efficiency to do something like this (although it's a shame the bank gave in to the loony Liberal Left).

Quote:

Should Debt Outlive a Student?April 27, 2012
By Mitch Smith

KeyBank will now take a case-by-case approach in deciding whether to collect when a student loan debtor dies, almost certainly a response to a Change.org petition that criticized the lender for not forgiving tens of thousands of dollars in loans made to a late Rutgers University student.

Christopher Bryski, then a Rutgers junior, was injured in 2004 in a recreational accident. After two years in a vegetative state, Bryski died with about $50,000 in student loan debt. His father had co-signed for those loans.

The federal government forgives all debts when students die. Most private lending agencies do the same, said Harrison Wadsworth, special counsel to the Consumer Bankers Association’s Education Funding Committee.

“The general practice is that the bank would relieve the co-signer,” Wadsworth said after the CBA conducted an informal survey of several members Thursday afternoon to learn about their policies. “I think it’s just that the banks want to do the right things in these cases and that’s why these policies are in place.”

But because Bryski’s father had co-signed the loan, KeyBank was not required to write off Christopher’s debts. For six years, it didn’t.

"Some banks take the position that you took out the loan, you co-signed for it, you’ve got to pay it back," said a KeyBank spokeswoman, Lynne Woodman. "Some banks take the position that we will always forgive the loan if a student dies and there's a co-signer. Others do it case by case."

Bryski’s father came out of retirement to meet the monthly payments while the family campaigned for KeyBank to forgive the loans. Family members also asked Congress to pass legislation requiring lenders to make clear whether they’d excuse student loans in the event of death or incapacitation. Bills are pending in both the House and Senate.

But for years, the family's pleas to KeyBank went unanswered. It wasn't until more than 75,000 people signed the Change.org petition this month deriding KeyBank’s “ghoulish” practices that the bank eliminated the remaining debts. The family, which didn't respond to a message seeking an interview, still owed about $30,000 on Christopher’s loans.

Woodman declined to comment on Bryski’s case, citing privacy laws, but speaking broadly said the bank would now review cases involving deceased student loan debtors on an individual basis. Woodman wouldn’t say when that policy was instituted, nor would she say how such cases were handled in the past.

Woodman also couldn’t say exactly what “case by case” would mean in practice, though she suggested KeyBank might look at whether a deceased student is leaving a substantial estate in deciding whether to collect.

That didn’t seem to be the case with Christopher Bryski. “When Christopher died, my family didn't just lose a loved one -- we inherited debt for an education that will never be used,” writes his brother Ryan on the Change.org petition. “[E]very month we're reminded of my brother's death in the worst way every time dad puts a check in the mail to a heartless bank.”